Nicholas Shaxson`s article on the scale of tax avoidance globally, and the harm it inflicts, is a timely reminder for Labour on how taxation should be at the heart of its election campaign (To defeat the world`s crooks, shrink the City, 29/10/19). With Britain, as he says "the biggest player in the tax haven game", Corbyn and his team must realise that bland promises about tackling tax evasion and avoidance will not suffice; voters have heard this many times from all parties with no real effect, so in order to have an impact the Labour manifesto should include precise details which then have to be repeated at every opportunity by every candidate. He or she should have the exact same figures to hand, from how much is lost every year in the UK to how many tax inspector jobs in HMRC will be created after the Tory and Lib/Dem cull.
McDonnell has already promised "the most comprehensive plan ever seen in the UK" to tackle the problem, with legislation necessary to force tax transparency on UK crown dependencies to reveal the owners of companies hiding assets (UK and territories are "greatest enabler" of tax avoidance, 28/05/19). More voter-friendly policies can be added. Should the distinction between tax avoidance and evasion be ended, with both being made criminal offences? Similarly it should be illegal to make financial gain from advising on, or creating, avoidance schemes, whilst the honours system is in need of reform to ensure no tax avoiders, or people working in companies avoiding tax, are included. Most definitely, with the news that almost three-quarters of companies given major contracts by recent Tory governments have operations based in tax havens, Labour should promise that any such companies will be refused any government contracts. Finally, a pledge that all Labour cabinet members will make their tax returns public would not go amiss either!
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